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United Airlines Cargo Revenue Surges 23% on Middle East Disruptions, Strong Demand

United Airlines' cargo division generated $527 million in second-quarter revenue, marking a 22.6% increase from year-ago levels. Geopolitical tensions and robust freight demand pushed air cargo rates sharply higher. The carrier transported nearly 347 million pounds of cargo during the quarter ending June 30, the strongest second-quarter volume since 2020. Capacity constraints in the Middle East, where airlines suspended or reduced service due to military conflict, compressed available shipping space by more than 12%. Spot rates climbed 35% to 40% year-over-year in recent months, with combined spot and contract rates up 17% through late June. Chief Commercial Officer Andrew Nocella attributed most gains to yield improvements rather than volume expansion. Global cargo demand grew 4% in the first half and surged 7% in June. Industry forecasters predict 2026 rates could run 5% to 15% higher than last year as geopolitical risks persist.